Minister raises financial transaction tax for study in 2027 budget debate

TEATT Minister Grisha Heyliger-Marten raised a financial transaction tax as an option for study during Parliament's debate on the draft 2027 National Budget on Tuesday 3 November. Heyliger-Marten said the idea would require research, economic analysis and consultation, and is not an approved policy or a proposal for an added tax at a set rate.

According to Heyliger-Marten, the draft 2027 budget projects about Cg 670 million in government revenue. She said Sint Maarten should examine what would be needed to support a Cg 1 billion national budget over the longer term, subject to economic growth, revenue collection, investment, fiscal reform and financial projections.

The minister used Cg 11.8 billion in payment transactions recorded in 2022, based on Central Bank payment system statistics, to illustrate the scale of financial activity. She said a hypothetical five percent charge would equal about Cg 590 million arithmetically, but said neither figure was a proposed tax rate or a revenue forecast. Any assessment would need to consider taxable and exempt transactions, repeated transfers, consumer prices, cash use and the effects on businesses and residents, she said.

Heyliger-Marten also said a proposal for an investment promotion structure was submitted to her about a week before the budget presentation. The proposal could begin as a foundation and later become an investment bureau to guide investors through government procedures and support local businesses. The Ministry is pursuing digitalisation of business licensing and administrative processes, she said.